Why it can beat a space heater
An electric resistance heater turns one unit of electricity into one unit of heat. A heat pump spends its electricity running a compressor and moves heat that already exists outdoors, so it can deliver several units of heat for each unit of electricity. That ratio is the coefficient of performance, or COP.
The readout above shows the theoretical ceiling for COP, set only by the two temperatures the refrigerant works between. Real equipment reaches a fraction of that ceiling because of friction, fan power and heat exchanger losses, so treat the number as a way to see the trend, not as a rating.
The same loop, in every fridge and air conditioner
A refrigerator and a window air conditioner run the identical four step cycle. They simply have no reversing valve, so heat only ever flows one way: out of the box or out of the room.